Here’s what happened in crypto today

Today in crypto, the US Congress is moving to update anti–money laundering rules by raising decades-old reporting thresholds. Hong Kong has joined Canada, Brazil and Kazakhstan in approving a spot Solana ETF, while Tether’s USDT stablecoin has reportedly reached 500 million users worldwide.

Congress moves to revamp Bank Secrecy Act’s reporting thresholds after 50 years

A group of US senators led by Senate Banking Committee Chair Tim Scott (R-S.C.) has introduced legislation to modernize the Bank Secrecy Act, the foundation of the country’s Anti-Money Laundering (AML) framework.

The Bank Secrecy Act, passed in 1970, obliges banks, credit unions, and other financial institutions to help federal authorities detect and prevent financial crimes, including money laundering, terrorist financing, and related illicit activity.

The proposed legislation, known as the STREAMLINE Act, would raise the Bank Secrecy Act’s reporting thresholds for the first time since its creation more than 50 years ago.

The bill increases the Currency Transaction Report (CTR) threshold to $30,000 from $10,000 and the Suspicious Activity Report (SAR) thresholds from $2,000 to $3,000 and $5,000 to $10,000, while requiring the Treasury Department to adjust these amounts every five years to account for inflation.

Under current law, financial institutions must file CTRs for cash transactions exceeding $10,000 and SARs for transactions involving $2,000 to $5,000, depending on the level of suspicion or evidence of criminal activity.

Senator Pete Ricketts, who supports the bill, said, “After more than 50 years of inflation, the Bank Secrecy Act’s reporting thresholds are badly outdated. They must be modernized.”

He added that the new bill “cuts red tape for banks and credit unions,” ensuring “law enforcement still has the tools they need to do their job.”

US-based crypto exchanges like Coinbase and Kraken are also required to comply with the Bank Secrecy Act.

Hong Kong approves its first spot Solana ETF ahead of US

Hong Kong approved its first spot Solana ETF, marking the third spot crypto ETF approved by the city after Bitcoin and Ethereum.

On Wednesday, the Hong Kong Securities and Futures Commission (SFC) granted approval for the China Asset Management (Hong Kong) Solana ETF, which will be listed on the Hong Kong Stock Exchange, according to a report by the Hong Kong Economic Times.

The product will include both Chinese yuan counters and US dollar counters, meaning it can be traded and settled in both currencies. Each trading unit will consist of 100 shares, with a minimum investment of about $100. The fund is expected to debut on Monday.

The ETF’s virtual asset trading platform will be operated by OSL Exchange, while OSL Digital Securities will serve as sub-custodian. ChinaAMC has set a management fee of 0.99%, with custody and administrative fees capped at 1% of the sub-fund’s net asset value, resulting in an estimated annual expense ratio of 1.99%.

ChinaAMC (Hong Kong) is already known for launching Asia’s first Bitcoin (BTC) and Ether (ETH) spot ETFs, both of which were approved earlier this year.

Tether’s USDT reaches 500 million users, touching 6.25% of world population

US dollar-pegged stablecoin Tether hit its 500 millionth user on Tuesday, offering a means to transact and save for those who have been excluded by the traditional banking system.

“Likely the biggest financial inclusion achievement in history,” Tetherj CEO Paolo Ardoino wrote in a post on X.

Source: Paolo Ardoino

Tether said the figure represents 500 million “real people,” not simply Tether (USDT) wallets, suggesting its stablecoin has now been used by around 6.25% of the world’s population.

The World Bank Group estimates there are 1.4 billion adults who don’t have access to a bank account globally. Crypto is one potential solution to the problem, as anyone with a phone can download a crypto wallet to receive money and store funds securely.

Crypto can also be beneficial for those who live in high-inflation countries or nations where the risk of having one’s funds seized is real.

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